Daydream Dragons are the hosts of daydreams and fantasies. They spend the majority of their time sitting on clouds, dropping daydreams down into the minds of people passing by. Humans who live near Daydream Dragons must be especially careful not to let their thoughts wander, or they could end up spending hours or even days in a trance-like waking dream state.

Dragons are highly-intelligent reptilian creatures that—from a human perspective, at least—appear to live forever. Many different varieties of dragon exist, each with their own unique qualities, habitats, and behavior. Adolescence in dragons is usually marked by the growth of a hatchling’s wings, although not all breeds of dragons grow wings and some breeds have other traits that indicate the beginning of maturation. In Galsreim, dragons and humans coexist peacefully.

Kouryuu was already a vivid daydreamer to begin with, and with Huana around she is completely at the mercy of the mischevious dragon. Huana likes making others' thoughts wander, but Kouryuu seems especially vunerable to his powers. Kelppa often disproves of this, but Kouryuu doesn't mind at all, saying that the daydreams Huana gives her are the most vivid and realistic daydreams she has ever experienced. Huana always has good intentions when he utilizes her power, and it's not too hard to find someone under his power: staring blankly into space with a look of distant contentment on their face.